________ firms typically raise money from numerous smaller investors, which they then invest in a portfolio of entrepreneurial firms.
A) Business angel
B) Venture capital
C) Closely held
D) Private equity

Question

Quizplus · Accepted Answer

The description fits with the definition of venture capital firms, which raise money from multiple investors (known as limited partners) and then invest that money in a portfolio of high-growth potential entrepreneurial companies. Business angels typically invest their own money in smaller amounts, closely held firms are owned by a small number of people, and private equity firms often focus on buying and restructuring existing companies rather than early-stage startups.

________ Firms Typically Raise Money from Numerous Smaller Investors, Which